A modern, efficient highway system is essential to meet the needs of our growing population, our expanding economy, and our national security.  We are accelerating our highway improvement program as rapidly as possible under existing State and Federal laws and authorizations.  However, this effort will not in itself assure our people of an adequate highway system.  On my recommendation, this problem has been carefully considered by the Conference of State Governors and by a special Advisory Committee on a National Highway Program, composed of leading private citizens.  I have received the recommendations of the Governors’ Conference and will shortly receive the views of the special Advisory Committee.  Aided by their findings, I shall submit on January 27th detailed recommendations which will meet our most pressing national highway needs.

In further recognition of the importance of transportation to our economic strength and security, the Administration, through a Cabinet committee, is thoroughly examining existing Federal transportation policies to determine their effect on the adequacy of transportation services.  This is the first such comprehensive review directly undertaken by the Executive Branch of the government in modern times.  We are not only examining major problems facing the various modes of transport; we are also studying closely the inter-relationships of civilian and government requirements for transportation.  Legislation will be recommended to correct policy deficiencies which we may find.

The nation’s public works activities are tremendous in scope.  It is expected that more than $ 12 billion will be expended in 1955 for the development of land, water and other resources; control of floods, and navigation and harbor improvements; construction of roads, schools, and municipal water supplies, and disposal of domestic and industrial wastes.  Many of the Federal, State and local agencies responsible for this work are, in their separate capacities, highly efficient.  But public works activities are closely inter-related and have a substantial influence on the growth of the country.  Moreover, in times of threatening economic contraction, they may become a valuable sustaining force.  To these ends, efficient planning and execution of the nation’s public works require both the coordination of Federal activities and effective cooperation with State and local governments.

The Council of Economic Advisers, through its public works planning section, has made important advances during the past year in effecting this coordination and cooperation.  In view of the success of these initial efforts, and to give more emphasis and continuity to this essential coordination, I shall request the Congress to appropriate funds for the support of an Office of Coordinator of Public Works in the Executive Office of the President.

A most significant element in our growing economy is an agriculture that is stable, prosperous and free.  The problems of our agriculture have evolved over many years and cannot be solved overnight; nevertheless, governmental actions last year hold great promise of fostering a better balance between production and markets and, consequently, a better and more stable income for our farmers.